AIG 2007 Annual Report Download - page 129

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American International Group, Inc. and Subsidiaries
Life Insurance & Retirement Services Net Investment Income and Net Realized Capital Gains (Losses)
The following table summarizes the components of net investment income for the years ended December 31, 2007,
2006 and 2005:
(in millions) 2007 2006 2005
Foreign Life Insurance & Retirement Services:
Fixed maturities, including short-term investments $ 7,846 $ 6,820 $6,059
Equity securities 135 80 51
Interest on mortgage and other loans 466 454 447
Partnership income 128 94 57
Unit investment trusts(a) 439 259 4
Other(b) 275 301 357
Total investment income before policyholder income and trading gains 9,289 8,008 6,975
Policyholder investment income and trading gains (c) 2,899 2,017 2,021
Total investment income 12,188 10,025 8,996
Investment expenses 339 267 278
Net investment income $11,849 $ 9,758 $8,718
Domestic Life Insurance:
Fixed maturities, including short-term investments $ 3,528 $ 3,444 $3,481
Equity securities (4) (6) (3)
Interest on mortgage and other loans 418 349 327
Partnership income excluding Synfuels 123 80 135
Partnership loss Synfuels (101) (107) (143)
Unit investment trusts 35—
Other(b) 77 67 (4)
Total investment income before policyholder income and trading gains 4,044 3,832 3,793
Policyholder investment income and trading gains(c) 4——
Total investment income 4,048 3,832 3,793
Investment expenses 53 54 60
Net investment income $ 3,995 $ 3,778 $3,733
Domestic Retirement Services:
Fixed maturities, including short-term investments $ 5,376 $ 5,645 $5,579
Equity securities 30 38 13
Interest on mortgage and other loans 539 449 401
Partnership income 572 425 224
Other(b) 42 (18) 60
Total investment income 6,559 6,539 6,277
Investment expenses 62 51 51
Net investment income $ 6,497 $ 6,488 $6,226
AIG 2007 Form 10-K 75